How To Handle Insurance Adjusters After a Car Accident in California

Dealing with insurance adjusters—either the at-fault party’s insurance company and your own insurance company—can be one of the most daunting aspects of a car accident claim. Most people handle their own claims after an accident, mistakenly believing that they can handle the insurance adjuster. But beware: adjusters are trained professionals whose main objective is to protect their insurance company’s bottom line. 

Understanding how to communicate with insurance adjusters and knowing your rights can make a significant difference in the outcome of your claim. In this guide, we’ll walk you through best practices, common pitfalls, and legal recourses available to you under California law.

Dealing with the At-Fault Driver’s Insurance Adjuster

When the accident was caused by another driver, you will likely be contacted by their insurance adjuster. Their goal is to settle your claim quickly and for as little money as possible. Keep the following tips in mind to protect your interests and ensure you receive the compensation you deserve.

1. Be Cautious About What You Say

Insurance adjusters look for statements that could reduce the insurer’s liability. They will ask you to give a recorded statement, either verbally or in writing. It is always a bad idea to give any sort of statement to the other side’s insurance company. However, often it is necessary to discuss with the facts of the case, especially when you’re making your own claim without an attorney. If you choose to do so, remember the following tips:

• Do Not Admit Fault: Even if you suspect you contributed to the accident, never admit fault. Fault determination often involves a detailed investigation by the police, insurers, and sometimes legal representatives.
• Provide Only the Basics: Offer essential facts such as the time, location, and vehicles involved. Avoid speculating about injuries or the severity of the damage.
• Avoid Statements About Your Health: Saying things like “I feel fine” can undermine your claim. Some injuries, especially soft tissue injuries or whiplash, may surface days or weeks after the accident.

Any offhand remarks can be used against you. It’s best to keep conversations brief and stick to verified, factual information.

2. Do Not Agree to a Recorded Statement

Insurance adjusters may request a recorded statement about the accident. Although they might imply it is a routine procedure, you are not required to provide one. The law does not require you to provide a recorded statement. Recorded statements can be used to:

• Identify inconsistencies in your recollection of events.
• Minimize the extent of your injuries or property damage.
• Challenge your credibility at a later stage.

If you feel pressured to give a recorded statement, politely decline and consult with a Los Angeles car accident attorney to understand your rights and obligations.

3. Do Not Provide a Release of Your Medical Records

Another tactic insurance companies use is to ask you to sign a medical records release form. Often, they will say that this is necessary to investigate the claim and pay you for your injuries. Again, you are not required to provide a medical records release form since it will be used against you. How:

• Medical release forms are generally worded broadly and will allow the insurance company to dig deep into your past.
• Allow prior medical conditions to be used to weaken your claim.
• Invade your privacy by seeking information that is not necessary to resolve your claim.

4. Do Not Accept the First Settlement Offer

Insurance companies often offer lowball settlements immediately after the accident, hoping you’ll accept before understanding the true extent of your damages. They will make it look like they are doing you a favor by giving you some quick cash, but don’t be fooled. Before you settle:

• Complete Medical Treatment: Ensure you have fully assessed your injuries and consulted with healthcare professionals. Recovery can be an ongoing process, and you want to account for all current and future medical expenses.
• Calculate All Damages: This includes lost wages, future loss of earning capacity, pain and suffering, and property damage.
• Consult an Attorney: If your injuries are severe or the claim is complex, getting legal advice can help you determine a fair settlement amount.

Remember that once you accept a settlement, you typically waive your right to pursue additional compensation.

5. Gather Evidence to Support Your Claim

The best way to maximize your personal injury claim is to be prepared and to gather as much facts to support your claim. Building a solid foundation for your claim is crucial before negotiating with the at-fault party’s insurance company. Collect and organize:

• Police Reports: Official documentation of the incident, including any citations or statements made at the scene.
• Medical Records and Bills: Proof of your injuries, treatments, and related expenses.
• Vehicle Repair Estimates: Detailed cost breakdowns from reputable auto repair shops.
• Witness Statements: Contact information and accounts from individuals who saw the accident occur.

Having comprehensive evidence can greatly improve your negotiating position and help you combat lowball offers.

Dealing with Your Own Insurance Adjuster

When making a claim through your own insurance company, whether under uninsured/underinsured motorist coverage, collision coverage, or other policy provisions, your rights and responsibilities may differ from dealings with the other driver’s insurer. Your policy often outlines specific procedures to follow.

1. Your Duty to Cooperate

Almost every insurance policy contains a duty to cooperate clause. Failure to meet this requirement could lead to a claim denial. More importantly, if you are at fault in an accident and you fail to cooperate, your insurance company may choose not to defend you if they can show that they have been prejudiced. In these types of cases, you may be personally liable for the damages and injuries caused in the accident.

Typically, your own insurance company will require you to do the following:

• Report the Accident Promptly: Notify your insurer as soon as possible, even if you don’t believe you were at fault.
• Provide Requested Documents: This can include police reports, medical records, repair estimates, and any other relevant paperwork.
• Submit to an Examination Under Oath (EUO): If your insurer requests it, you must comply, but you may do so with legal counsel present.
• Allow Vehicle Inspection: Your insurer has the right to inspect the damage to your vehicle and assess repair costs.

Always read your policy documents thoroughly to know what is expected of you.

2. Understanding Your Insurance Coverage

Your policy coverage determines what expenses are covered and to what extent. Review your policy for:

• Liability Coverage Limits: This is the maximum amount your insurer will pay if you’re found at fault for an accident.
• Uninsured/Underinsured Motorist Coverage: Covers your damages if the at-fault party lacks sufficient insurance.
• Medical Payments (MedPay) and Personal Injury Protection (PIP): May help cover immediate medical expenses regardless of fault.
• Deductibles and Exclusions: Understand how much you’ll pay out of pocket and what scenarios are not covered by your policy.

Being familiar with your coverage can prevent unpleasant surprises and help you negotiate effectively with your own adjuster.

3. Bad Faith Insurance Practices

In California, insurance companies must act in good faith. Under California Insurance Code § 790.03, insurers are prohibited from engaging in unfair practices such as:

• Delay in Processing Your Claim: Dragging out the claims process without valid reasons.
• Baseless Denials: Rejecting valid claims without a clear explanation or justification.
• Failure to Investigate Properly: Refusing to conduct a fair and thorough investigation into the facts of the claim.
• Low settlement offers: Paying much less than a claim is actually worth.
• Lying: Believe it or not, adjusters routinely lie about your rights, obligations, and the law.  They also misrepresent the policy provisions which give you certain rights.
• Forcing You to Litigate: When your insurance company fails to act quickly, faily, and in good faith, they leave you no option but to file a lawsuit. This is another example of bad faith insurance practices.

If you suspect bad faith—for instance, if your insurer ignores evidence or refuses to communicate—consult an attorney to discuss your options.

4. Legal Recourse If Your Insurer Denies Your Claim

If your insurer unfairly denies or undervalues your claim, you may be able to file a bad faith insurance lawsuit. California courts have established that policyholders can seek damages if an insurer violates its duty of good faith. In Egan v. Mutual of Omaha Ins. Co. 24 Cal.3d 809 (1979), the California Supreme Court addressed an insurer’s duty to conduct a proper investigation. The Court ruled that insurance companies are obligated to conduct thorough, fair evaluations and process claims in a timely manner. The failure to conduct such good faith investigation will expose them to bad faith insurance practices.

Damages in a bad faith lawsuit can include amounts for unpaid benefits, emotional distress, and in some cases, punitive damages designed to penalize particularly egregious conduct by insurers.

5. File a Complaint With Department of Insurance

As a policy holder, you always have the right to file a complaint with California Department of Insurance. Your complaint will be reviewed and investigated. You can access the complaint form at the following link: Consumer Complaint Online

Additional Tips for a Successful Insurance Claim

1. Keep Organized Records

Maintain a dedicated file—physical or digital—to store:

• Medical receipts and doctor’s notes.
• Letters from insurance companies.
• Estimates for vehicle repairs or property damage.
• Any other documentation related to the accident and your injuries.

2. Follow Your Doctor’s Advice

Failing to follow a prescribed treatment plan could weaken your claim. Insurance companies often argue that delayed or neglected treatments indicate your injuries aren’t serious. Attend all appointments and follow medical recommendations diligently.

3. Consider Hiring a Car Accident Attorney

If you sustained significant injuries or if your insurance claim becomes complicated, hiring an experienced Los Angeles car accident attorney can be invaluable. An attorney can:

• Communicate with insurance adjusters on your behalf.
• Help accurately calculate current and future damages.
• Ensure compliance with legal deadlines and procedures.
• Provide guidance on whether to accept or negotiate settlement offers.

4. Be Mindful of Statutes of Limitations

In California, the statute of limitations for most personal injury claims arising from car accidents is generally two years from the date of the accident. If you fail to file a lawsuit within this time, you could lose your right to pursue compensation altogether. Always consult with an attorney to confirm the deadlines specific to your case.

Final Thoughts

Whether you are dealing with the at-fault driver’s insurance adjuster or your own insurance company, understanding your rights and responsibilities is paramount. Being informed helps you protect your claim and maximize your settlement. If the process becomes overwhelming or if you suspect unfair treatment, seek help from an experienced Los Angeles car accident attorney who can advocate on your behalf. Ultimately, staying proactive, organized, and well-informed can make all the difference in obtaining the compensation you deserve